MILLI REASURANS ANNUAL REPORT 2018

Millî Reasürans Türk Anonim Şirketi NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS AS OF DECEMBER 31, 2018 (Currency: Turkish Lira (TL)) (Convenience Translation of Financial Statements and Related Disclosures and Footnotes Originally Issued in Turkish, See Note 2.1.1) As of December 31, 2018 and 2017, the Group’s financial assets held for trading are detailed as follows: December 31, 2018 Nominal value Cost Fair value Book value Debt instruments: Other TL - 7.795.343 7.800.426 7.800.426 - 7.795.343 7.800.426 7.800.426 Non-fixed income financial assets: Investment funds - 108.810.773 146.293.529 146.293.529 Equity shares - 22.802.751 19.110.609 19.110.609 Derivative guarantees - 6.259.952 6.348.182 6.348.182 - 137.873.476 171.752.320 171.752.320 Total financial assets held for trading - 145.668.819 179.552.746 179.552.746 December 31, 2017 Nominal value Cost Fair value Book value Debt instruments: Other TL - 23.219.811 23.241.814 23.241.814 - 23.219.811 23.241.814 23.241.814 Non-fixed income financial assets: Investment funds 220.387.100 266.365.506 266.365.506 Equity shares 45.337.430 48.346.198 48.346.198 Derivative guarantees 9.570.458 9.581.632 9.581.632 275.294.988 324.293.336 324.293.336 Total financial assets held for trading 298.514.799 347.535.150 347.535.150 As of December 31, 2018 and 2017, the Group’s available for sale financial assets are detailed as follows: December 31, 2018 Nominal value Cost Fair value Book Value Debt instruments: Government bonds - TL 198.089.739 189.770.611 176.440.027 176.440.026 Government bonds - USD 87.330.940 98.641.422 79.242.874 79.242.874 Private sector bonds - TL 93.990.000 93.358.310 95.339.659 95.339.659 Private sector bonds- USD 228.707.105 219.165.166 212.712.655 212.712.655 Private sector bonds - EUR 30.350.980 30.138.814 30.896.017 30.896.016 Impairment loss on private sector bonds (6.954.540) (6.954.540) 631.074.323 587.676.692 587.676.690 Non-fixed income financial assets: Equity shares 165.508.575 158.931.638 158.931.638 Investment funds 243.137.401 261.433.640 261.433.640 408.645.976 420.365.278 420.365.278 Total available for sale financial assets 1.039.720.299 1.008.041.970 1.008.041.968 Millî Reasürans Annual Report 2018 222 / Consolidated Financial Statements and Independent Auditors’ Report